New Mexico Finance Authority

What New Mexico Finance Authority does

New Mexico Finance Authority (NMFA) is a public government instrumentality created by the New Mexico Legislature in 1992 and headquartered in Santa Fe. It provides low-cost financing to state and local public entities, water and wastewater systems, schools and charter schools, healthcare facilities, Indian nations/tribes/pueblos, colonias communities, and small businesses for infrastructure, economic development, and community projects. Its flagship program is the Public Project Revolving Fund (PPRF), which has made approximately 2,300 loans totaling roughly $5.4 billion since inception through June 30, 2025, with loans outstanding to 250 municipal entities. PPRF bonds carry AAA/Aa1 ratings on both senior and subordinate liens, and NMFA receives 75% of net New Mexico Governmental Gross Receipts Taxes as credit enhancement.

NMFA's revenue model is built on loan interest, GGRT allocations, bond issuance proceeds, and federal program administration (including the State Small Business Credit Initiative and the Drinking Water State Revolving Loan Fund, which receives approximately $8 million in annual federal capitalization grants). Pricing is set below market with no loan fees, including 0% interest for disadvantaged public entities and community water systems, 0.01% for community water systems, and 2% for qualifying disadvantaged communities up to $500,000 per entity per fiscal year. Programs are structured through a hybrid go-to-market model combining direct application via an in-house EnABLE online portal, board-approved lending workflows, and channel partnerships with banks, credit unions, and CDFIs for small-business programs.

The organization operates a technology stack of standard off-the-shelf systems (Salesforce, Sage Intacct, Microsoft 365) plus the EnABLE application portal and an e-bill payment system. It does not develop proprietary technology products. NMFA also administers or co-administers numerous specialized programs, including the Water Project Fund (652 projects, $1B+ cumulative), Colonias Infrastructure Fund, Local Government Planning Fund, Local Solar Access Fund, Charter School Programs, Opportunity Enterprise programs, and various healthcare and behavioral health capital funds, in coordination with multiple state agencies and oversight boards.

Name

New Mexico Finance Authority

Legal name

New Mexico Finance Authority

Website

https://nmfinance.com

Company type

Public

Founded year

1992

Operating status

Operating

Headcount range

51–100 employees

Short description

New Mexico Finance Authority is a state-created public finance authority that provides low-cost loans, grants, and tax-exempt bond financing to municipalities, water systems, schools, businesses, tribes, and healthcare facilities across New Mexico for infrastructure and economic development.

Ownership category

akta.pro rank

Product category

Public Finance and Municipal Lending

NAICS

Public Administration (92), Administration of Air and Water Resource and Solid Waste Management Programs (92411)

SIC

Federal & Federally-Sponsored Credit Agencies (6111)

akta.pro primary industry

National/Regional Development Finance Institutions (DFIs) (FSABAKAB)

akta.pro secondary industries

SBA/Government-Backed & Development Finance Loans (FSAKAGAI), Development Finance & Blended Finance Facilities (BPADAOAD), Municipal/Local Government Development Banks (FSABAKAI)

Keywords

• Public project financing
• Municipal lending programs
• Infrastructure loan fund
• Tax-exempt bond financing
• Small business credit

Headquarters

HQ city

Santa Fe

HQ country

United States

HQ region

North America

Offices1 record

Markets served

GTM type

B2B

Offering type

Services

Cost components

Personnel, Operations, Infrastructure, Technology or R&D, Marketing or Sales, Others

Revenue model

1. Loan Interest Revenue: NMFA generates revenue through interest payments on loans made to public entities, businesses, and other borrowers. Loans are made at below-market interest rates (including 0% and 2% for disadvantaged communities) and market rates for standard borrowers. The Public Project Revolving Fund (PPRF) has loans outstanding to 250 municipal entities.
2. Bond Issuance: NMFA issues tax-exempt bonds (PPRF bonds) to obtain funds for lending. The bonds are secured by PPRF loans and the annual Governmental Gross Receipts Tax (GGRT) receipts. NMFA began issuing PPRF bonds in 1995.
3. Governmental Gross Receipts Tax (GGRT): NMFA receives 75% of net Governmental Gross Receipts Taxes generated in New Mexico as a credit enhancement for bonds. GGRT comprises approximately 20% of PPRF revenue each year. After bond debt service is paid, up to 35% of GGRT is appropriated by the Legislature for planning grants, water programs, and other designated uses.
4. Federal Program Administration: NMFA administers federal programs including the State Small Business Credit Initiative (SSBCI) and the Drinking Water State Revolving Loan Fund (DWSRLF). The DWSRLF receives approximately $8 million annually in federal capitalization grants.

Pricing tiers

Go-to-market motion2 records

Distribution channels3 records

Marketing channels5 records

Core offering

New Mexico Finance Authority (NMFA) is a state government instrumentality that provides low-interest financing and grants to New Mexico municipalities, water systems, schools, charter schools, healthcare facilities, tribal governments, and small businesses for public infrastructure and economic development. Its flagship Public Project Revolving Fund (PPRF) issues tax-exempt bonds to fund low-cost loans, supplemented by targeted programs including the Water Project Fund, Drinking Water State Revolving Loan Fund, Colonias Infrastructure Fund, Local Government Planning Fund, Local Solar Access Fund, and the State Small Business Credit Initiative (SSBCI). Since 1992, NMFA has made approximately 2,300 PPRF loans totaling $5.4 billion and funded 652 water projects exceeding $1 billion.

Product overview

New Mexico Finance Authority (NMFA) operates as a multi-program financing authority offering a comprehensive portfolio of low-cost financing products for infrastructure, water projects, economic development, and community services across New Mexico. The organization administers its flagship Public Project Revolving Fund (PPRF) alongside targeted programs including the Water Project Fund, Drinking Water State Revolving Loan Fund, Colonias Infrastructure Fund, Local Government Planning Fund, and Local Solar Access Fund for public entities. For business development, NMFA manages the State Small Business Credit Initiative (SSBCI), Opportunity Enterprise programs, Venture Capital Program, New Markets Tax Credit Program, and various healthcare and childcare facility loan funds. The portfolio also includes Charter School Programs and specialized energy efficiency and small business recovery lending. Programs are delivered through multiple boards including the Water Trust Board and Colonias Infrastructure Board, with financing structures ranging from grants and subsidized loans to market-rate financing.

Differentiator

Problem solved

Functional benefit

Products and services

• Public Project Revolving Fund (PPRF) NMFA's flagship low-interest loan program created in 1992 providing fixed-rate loans up to 30 years with no origination fees for public infrastructure, fire and safety equipment, public buildings, roads, water systems, schools, and hospitals to local governments and tribal entities in New Mexico. PPRF loans are funded by tax-exempt bonds backed by Governmental Gross Receipts Tax receipts.
• Water Project Fund Loans and grants for water projects recommended by the Water Trust Board, including water conservation, recycling, wastewater, flood prevention, water storage, conveyance, and watershed restoration. The fund has funded 652 projects totaling over $1 billion since inception.
• Drinking Water State Revolving Loan Fund (DWSRLF) Low-cost financing for construction and improvements to drinking water facilities, offered in partnership with the New Mexico Environment Department. Disadvantaged public entities receive 0% interest loans, community water systems receive 0.01% interest, and non-profit non-community water systems receive 3% interest, with loan terms up to 30 years.
• Colonias Infrastructure Fund Financing for Colonias communities in Southern New Mexico for water, wastewater, solid waste disposal, flood control, roads, and housing infrastructure. Funds are delivered as 90% grant and 10% loan with provisions for loan waivers, with loan terms up to 20 years at 0% interest.
• Local Government Planning Fund (LGPF) Grants for planning documents including preliminary engineering reports, water conservation plans, long-term water plans, energy efficiency audits, and economic development plans for local governments in New Mexico. Applications are submitted through the EnABLE online system.
• Local Solar Access Fund Grants up to $1 million for solar energy projects and up to $50,000 for technical assistance to New Mexico eligible entities including counties, municipalities, school districts, and tribal governments. At least 60% of funding is awarded to rural entities.
• Charter School Programs Low-interest financing programs for charter schools in New Mexico including the Charter School Facility Revolving Fund ($10 million) for lease-purchase agreements covering construction, renovation, and expansion, plus PPRF refinancing options.
• State Small Business Credit Initiative (SSBCI) Federal program providing a Loan Participation Program to increase access to capital for small businesses by reducing lender risk, with loan amounts from $50,000 to $7,500,000. Businesses apply through participating financial institutions (banks, credit unions, CDFIs).
• Opportunity Enterprise - Commercial Development Low-interest loans up to $17.5 million for commercial development projects that increase inventory of commercial space in New Mexico, with interest rates at 60% of WSJ prime rate (minimum 3%), fixed for the loan term. Loan terms are no more than 30 years with preference for 20 years.
• Opportunity Enterprise - Housing Development Program Low-interest loans for workforce housing development or infrastructure for affordable housing in New Mexico communities. Administered by NMFA through the Opportunity Enterprise Revolving Fund.
• Venture Capital Program Access to capital for New Mexico businesses through venture capital investments, providing equity financing options to support business growth.
• New Markets Tax Credit Program Program providing access to capital for businesses in New Mexico through New Markets Tax Credits, supporting economic development in low-income communities.
• Child Care Facility Revolving Loan Fund Low-interest loans to renovate and improve childcare facilities throughout New Mexico, supporting early childhood education infrastructure.
• Primary Care Capital Fund Low-interest loans for capital needs of primary care facilities to improve access to healthcare services in New Mexico.
• Behavioral Health Capital Fund Low-interest loans for capital needs and working capital to clinics to improve access to behavioral health services in New Mexico.
• Energy Efficiency Revolving Loan Fund Low-interest loans to businesses for energy efficiency upgrades and improvements, supporting energy conservation in New Mexico.
• Smart Money Business Loan Participation Program Loans up to 25 years at low, fixed interest rates for working capital, equipment, and building projects for businesses and nonprofit organizations in New Mexico.
• Water Project Fund / Technical Assistance Program (TAP) Free professional assistance for water and wastewater systems including engineering, technical, hydrological, geospatial mapping, accounting, legal, and facilitator services, provided through the Water Project Fund.

Quantifiable outcome

• $5.4 billion in PPRF loans made to approximately 2,300 projects since inception
• +3 more outcomes

Segments10 records

Ideal customer profiles6 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Partnerships

14 partnerships are on record, tiered core and minor.

• Financial Institutions (Banks, Credit Unions, CDFIs)coreChannel Partner/ Reseller/ DistributorNMFA partners with financial institutions including banks, credit unions, and CDFIs for the State Small Business Credit Initiative (SSBCI) program. Businesses apply to the Loan Participation Program through these financial institutions. NMFA provides credit support by purchasing portions of loans made by lenders, reducing lender risk and expanding access to capital for small businesses.
• New Mexico Economic Development Department (NMEDD)coreStrategic or Co-development PartnerNMFA partners with the NM Economic Development Department to implement SSBCI-funded programs assisting small businesses throughout New Mexico, particularly those in underserved and rural communities.
• New Mexico Environment Department (NMED)coreStrategic or Co-development PartnerNMFA operates the Drinking Water State Revolving Loan Fund (DWSRLF) in partnership with the New Mexico Environment Department's Drinking Water Bureau. Together they produce an annual DWSRLF Project Priority List and Intended Use Plan. NMFA provides low-cost financing while NMED provides technical, managerial, and financial assistance to water systems.
• Water Trust BoardcoreStrategic or Co-development PartnerNMFA provides administrative support to the 16-member Water Trust Board and manages the Water Project Fund on its behalf. The WTB recommends projects to be funded through the Water Project Fund, which receives 9% of Senior Severance Tax Bond proceeds annually.
• New Mexico Interstate Stream CommissionminorStrategic or Co-development PartnerThe Interstate Stream Commission is administering the New Mexico Unit Fund Pilot Cycle II, making $26 million available for water utilization projects in the southwest planning region. NMFA coordinates on eligible projects and applications.
• New Mexico Energy, Minerals and Natural Resources Department (EMNRD)coreStrategic or Co-development PartnerNMFA partners with EMNRD for implementation of the Local Solar Access Fund. EMNRD supports the state's energy transition goals and renewable energy development, coordinating with local governments and communities to advance clean energy infrastructure.
• New Mexico Department of Transportation (NMDOT)coreStrategic or Co-development PartnerSince 2004, NMFA has issued bonds on behalf of NMDOT under the GRIP program to fund transportation infrastructure projects including highways, bridges, and the Rail Runner commuter train. NMFA issues bonds at the direction of the State Transportation Commission and NMDOT. No NMFA assets are pledged for these conduit bonds.
• Office of the State EngineercoreStrategic or Co-development PartnerThe Office of the State Engineer is represented on the 16-member Water Trust Board, which NMFA administers. The WTB recommends water projects for funding through the Water Project Fund.
• New Mexico Department of Game and FishminorStrategic or Co-development PartnerThe Department of Game and Fish Director serves on the Water Trust Board administered by NMFA.
• New Mexico Department of AgricultureminorStrategic or Co-development PartnerThe Director of the New Mexico Department of Agriculture serves on the Water Trust Board administered by NMFA.
• New Mexico Municipal LeaguecoreStrategic or Co-development PartnerThe Executive Director of the New Mexico Municipal League serves on both the NMFA Board of Directors and the Water Trust Board, representing municipal interests.
• New Mexico Association of CountiescoreStrategic or Co-development PartnerThe Executive Director of the New Mexico Association of Counties serves on both the NMFA Board of Directors and the Water Trust Board, representing county interests.
• Opportunity Enterprise and Housing Development Review BoardcoreStrategic or Co-development PartnerThe Opportunity Enterprise Revolving Fund is governed by the Opportunity Enterprise Review Board in partnership with NMEDD, and administered by NMFA. The OEHDRB reviews and prioritizes project applications for financing.
• New Mexico Mortgage Finance AuthorityminorStrategic or Co-development PartnerThe Executive Director of the New Mexico Mortgage Finance Authority serves as an advisory member (non-voting) on the Colonias Infrastructure Board.

Scale indicators10 records

Recent moves7 records

Expansion highlights5 records

Direct peers

• California Infrastructure and Economic Development Bank (IBank): California's state DFI providing infrastructure and economic development financing through bond issuance, loan guarantees, and credit enhancement programs—directly comparable to NMFA in statutory mandate, balance-sheet structure, and multi-program operating model.
• Texas Public Finance Authority: Texas state-level public finance authority issuing bonds for state and conduit financings, with comparable statutory authority to access capital markets on behalf of governmental entities—analogous to NMFA's PPRF and conduit bond activities.
• Massachusetts Clean Water Trust: Massachusetts state-level DFI administering the Clean Water SRF and Drinking Water SRF with below-market loan programs for water infrastructure—directly comparable to NMFA's DWSRLF and Water Project Fund mandates and operating model.
• Ohio Water Development Authority: Ohio state DFI providing below-cost financing and loan programs for water and wastewater infrastructure using bond proceeds and capital sources—an established peer to NMFA's water infrastructure financing franchise.
• Connecticut Green Bank: Connecticut's state-level green bank providing clean energy financing programs through grants, loans, and credit enhancement—directly comparable to NMFA's Local Solar Access Fund and Energy Efficiency Revolving Loan Fund offerings.
• Colorado Water Resources and Power Development Authority: Colorado state DFI that finances water and power infrastructure through bond proceeds and below-market loans, addressing similar arid-western water challenges—directly comparable to NMFA's Water Project Fund and PPRF water infrastructure financing.
• Iowa Finance Authority: Iowa's state-level DFI operating diversified financing programs across housing, water, economic development, small business, and broadband—closely aligned with NMFA's multi-program charter and balance-sheet structure.
• New York State Environmental Facilities Corporation (EFC): New York state entity administering Clean Water SRF, Drinking Water SRF, and broader infrastructure financing programs—an established peer comparable to NMFA's DWSRLF and broader infrastructure lending offerings.
• Pennsylvania Infrastructure Investment Authority (PennVEST): Pennsylvania state authority providing SRF and infrastructure financing for water, sewer, and environmental projects—directly comparable to NMFA's DWSRLF and infrastructure lending franchise in both scope and structure.
• Vermont Economic Development Authority (VEDA): Vermont's state development finance authority providing loans and capital for business, agricultural, and infrastructure development—broadly comparable to NMFA's Opportunity Enterprise business financing and infrastructure lending portfolio.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat5 records

Key risks6 records

Key highlights7 records

Customer concentration

• Facebookfacebook.com/nmfinanceauthority
• LinkedInlinkedin.com/company/newmexico-finance-authority
• Instagraminstagram.com/newmexicofinanceauthority

Revenue estimate

Valuation estimate

Number of profiles

Profiles17 records

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about New Mexico Finance Authority